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Overview

CDB provides a $85 million USD to MMG Limited for general corporate purposes

Commitments (Constant USD, 2023)$87,697,375
Commitment Year•2020Country of Activity•AustraliaDirect Recipient Country of Incorporation•Hong Kong (China)Sector•Industry, Mining, ConstructionFlow Type•Loan

Status

Project lifecycle

Implementation

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Sep 4, 2020
Last repayment (originally scheduled)
Sep 4, 2023

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% host country ownershipAt least 25% Chinese ownership

Funding agencies

State-owned Policy Banks

  • China Development Bank (CDB)

Receiving agencies

State-owned companies

  • MMG Limited (MMG) (formerly Minmetals Resources Limited)

Loan description

CDB provides a $85 million USD to MMG Limited for general corporate purposes

Interest type•UnknownMaturity•3 years

Narrative

Full Description

Project narrative

On September 4, 2020, China Development Bank Corporation (CDB) entered into a $85.0 million USD facility agreement with MMG Limited. The facility carried a maturity period of three years, a maturity date of September 2023, and was able for draw down under the first two years of its term. The proceeds of this facility were to be used by the borrower for general corporate purposes. Under this facility, if MMG Limited ceased to be a subsidiary of China Minmetals Non-ferrous Metals Co. Ltd. (CMN), a controlling shareholder of MMG, ceased to beneficially hold over 51% of the issued share capital of MMG, an event of default would occur and CDB would be entitled to declare all outstanding funds under the facility immediately due and payable. As of December 31, 2020, $5 million USD was outstanding under this facility.

Staff comments

1. MMG Limited is a mid-tier global resources company. MMG Limited's largest shareholder is Chinese state-owned enterprise China Minmetals with 68%. MMG Limited is headquartered in Melbourne, Australia. It operates and develops copper, zinc and other base metals projects across Australia, the Democratic Republic of the Congo, and Peru.